Abstract

It is critical that industrial sector emissions are reduced significantly to minimize the worst effects of human-induced climate change. The first, and most cost-effective, step in reducing these emissions is energy efficiency. Current approaches to energy efficiency typically rely on project-by-project implementation without an established system to maintain the energy reductions. Conversely, an energy management system based on the Plan-Do-Check-Act structure, such as ISO 50001, provides a systematic and structured approach to identifying, implementing, and maintaining energy efficiency measures. This paper analyzes verified energy performance data from 83 manufacturing facilities that implemented ISO 50001 to better understand typical energy performance improvements and their persistence. This paper shows that manufacturing facilities which implement ISO 50001 achieve and maintain energy performance improvement rates far exceeding those achieved through current approaches or targeted by policymakers for energy efficiency’s contribution to decarbonization goals. It is shown that ISO 50001-certified facilities, on average, achieve annual energy performance improvement rates of around 4.1% in the initial year of implementation and maintain rates of around 3.4% twelve years after implementation. Further, the results show that the energy management system is embedded in the facility’s operational processes. The results provide confidence that implementation of ISO 50001-like energy management systems warrants consideration as a key policy lever for mitigating climate change.

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